PIO PIO DAIRY COMPANY

King Country Chronicle, Volume XXXIII, Issue 4809, 12 July 1939, Page 5

PIO PIO DAIRY COMPANY

DECREASE IN OUTPUT. HOPES FOR NEXT SEASON. AMOUNT FOR BONUS DISTRIBUTION. The output of butter from the Pio Pio Co-operative Dairy Company's factory for the season ended May 31 was 405 tons 14 cwts 1 qr 3 lbs, a decrease of 50 tons 12 cwts 3 qrs 4 lbs as compared with the previous season. This decrease followed the general drop in the output in dairy herds, but in the annual report and balance sheet, which will shortly be in the hands of shareholders, the directors of the company state their confidence that with better conditions prevailingnext season the output will show a very marked increase.

" The costs this season calculated on a pound of butterfat basis were 3.057 d, compared with 2.816 d last season, showing a slight increase which had been caused mainly by the decreased supply. The average advance payment for the 1938-39 season had been 13.857 d per lb butterfat, and there was available for final distribution £461519s 6d. This, after deducting dividend on share capital amounting to £412, will make available for distribution a further 1.353 d per lb, bringing the season's average payment per lb of butterfat (all grades) to 15.210 d. The valuation of the export butter was the guaranteed price according to the grading, and the butter for local sale was valued at Is 4%d per lb; provision had been made for the differential levy payable on this stock when sold. A payment of a 4 per cent, dividend on share capital is to be recommended by the directors. An interesting portion of the report compares the payouts' of the company during the past three years —1936-37, 12.522 d; 1937-38, 14.043 d; 1938-39, 15.210 d. The last mentioned figure is computed by adding the season advance to the estimated surplus available. When cartage and the dividend on share capital are also added the following are the figures per lb of butterfat:—l936-37, 13.121 d; 1937-38, 14.718 d; 1938-39, 16.008 d. The net profit on the trading department was £36 lis 4d. The company's auditors, Messrs. Luxford and Malins, again congratulate the company on the sound financial position as shown in the balance sheet, and express appreciation of the manner in which the administrative and financial records are kept.